Credit Union Act, 1997
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PART III Operation of Credit Unions | ||
Business and raising of funds | ||
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General principles. |
26.—(1) A credit union shall not carry on any business or activity which is not appropriate or incidental to the objects for which, in accordance with section 6 , it is formed. | |
(2) Subject to subsection (1), a credit union may— | ||
(a) acquire property of any description permitted by or under this Act; and | ||
(b) do anything expedient for accomplishing, or conducive to or consequential upon, the objects for which the credit union is formed. | ||
(3) Where any act or other thing is done by a credit union— | ||
(a) which it had no power to do, but | ||
(b) which, if it had been empowered to do, would have been lawfully and effectively done, | ||
that act or thing shall be effective in favour of any person who, relying on that act or thing, dealt with the credit union in good faith. | ||
(4) The Court may, on the application of a member or the Registrar restrain a credit union from doing any act or thing which it has no power to do. | ||
(5) Without prejudice to subsection (4), if a credit union knowingly contravenes subsection (1), it shall be guilty of an offence. |